Home insurance premiums down 7.5% over the year, with quarterly deflation regaining pace

The average Rank 1-5 new business quoted premium from price comparison websites (PCWs) for home insurance was £253 in June 2026, down from £278 in June 2025.

The proportion of consumers able to secure a quote below £200 also improved, rising to 66.6% in June 2026, up from 62.5% a year earlier, suggesting cheaper cover is becoming more widely accessible even as the overall pace of deflation slows.

Age differences

Annual deflation has been largely consistent across age groups. Under 50s saw the steeper of the two reductions, with premiums down 7.8% over the year, while Over 50s experienced a slightly smaller decrease of 7.2%.

Regional performance

All British regions recorded year-on-year declines in Rank 1-5 premiums, though the scale of the falls varied considerably. London recorded the largest annual decrease (-9.8%), while the North East saw the smallest reduction (-3.3%).

In the most recent three months, nine of the eleven regions experienced notable deflation, led once again by London (-3.6%). Two regions — the South West and the East Midlands — remained broadly stable, with movements within ±0.5%.

Despite recording the strongest annual and quarterly deflation, London continues to have the highest average Rank 1-5 quoted premium at £389, almost £100 above the second-highest region, Scotland (£292). The North East remains the cheapest region, at £182, following a further modest quarterly decline.

Table sorted by annual price index, ascending.

Property age

Properties of all ages saw annual deflation in premiums. The smallest reduction was for homes built between 1910-1925 (-5.3%), followed by properties built from 1940-1955 (-6.5%). All other property age bands experienced decreases of between 7% and 9%, with the largest annual decrease recorded for properties built between 1895-1910 (-9.0%).

In the latest quarter, older properties (built before 1940) saw the strongest quarterly decreases in pricing, of between 2% and 3%, while properties built after 1940 experienced smaller quarterly reductions. The oldest properties in the dataset, built between 1850-1895, remain the most expensive to insure, with average Rank 1-5 quoted premiums of £465. In contrast, properties built from around 1900 onwards typically attract significantly lower premiums, with Rank 1-5 averages below £290. Homes built between 1940-1955 currently have the lowest average premiums, at £212.

Table sorted by year built, ascending.

Market movement: insurers shift appetite for larger properties

A notable shift in appetite for larger properties emerged in April, as two household-name insurance groups began quoting for risks they had previously avoided.

Admiral and Admiral Gold started quoting for 6 and 7-bedroom properties, a segment previously only served by the group's Platinum tier. More Than, also part of the Admiral group, began quoting for these properties too, though it has yet to establish a competitive footprint. The move represents a shift in tiering, suggesting insurers may be looking to offer lower-cover products to consumers who historically would not have needed them, but who may now be under greater financial pressure.

In the same month, LV also began quoting for properties with 6 or more bedrooms, the first time it has done so since Q2 2018. This may indicate that LV is revisiting historic operations in search of new business volume.

Taken together, these movements from two major industry names point to mounting financial pressure on both sides of the market: insurers competing for new business volume, and consumers, including more affluent ones, increasingly willing to trade down to cheaper prices and lower levels of cover.

Home Insurance Price Index

The independent authoritative source of price movements in the home insurance market, using real customer quotes from PCWs and key direct brands.